Sound Interesting?Contact Myles to set
up a meeting and
confidential business
evaluation today!

How do you know you’re ready?

The decision to sell all or part of your business is always intensely personal. But the reasons to do so are relatively straightforward. As we begin talking directly with owners about their desire to take the first step towards acquisition, we focus on companies whose principals seek something besides a complete exit from the business. We have identified three specific scenarios that represent the majority of companies interested in taking that first step with us:

Need a succession plan?

Get cash now while preserving growth opportunities for the next generation.

In multi-generational companies there is often a significant tension between the desires of the older generation to enjoy the fruits of their life’s work by taking cash from the business now and the younger generation that is primarily interested in growing the business now to maximize future value.

We have been successful in helping companies like this resolve this tension by cashing out the older generation while the younger generation retains their equity position and remains actively engaged in the ongoing management and financial success of the business.

As a growing, entrepreneurial company with solid financial backing, we offer great opportunities for younger managers to grow as leaders and to reap the financial rewards commensurate with their contributions.

Want to diversify your net worth?

Get cash now but retain future upside opportunity.

In some cases, an owner may realize that there is no clear management succession in their company but may not be quite ready to retire. They might also want to “take some chips off the table” if all or most of their net worth is tied up in the business.

In these cases, a majority stake can be sold and the owner can reinvest or “roll” a portion of their sale proceeds (usually 10-20%) into the equity of Tech Air, thereby becoming a partner. If they choose to they can maintain an active role in management of their business for some period of time.

The appreciation on the reinvested proceeds can be a substantial component (perhaps 50% or more) of the total compansation for the business and the owner gets to keep substantial “skin in the game” while reducing overall risk by diversifying their net worth.

Looking for capital?

Stay in the business and grow with us!

One of the most common complaints we hear from owners of smaller businesses is that they are simply “stretched too thin.” They may enjoy the sales and/or operational side of the business but find themselves bogged down in various administrative issues like safety and regulatory compliance, accounting and taxes, human resources & employee benefits, IT, etc.

WE CAN HELP! As part of a larger organization, we can take the “back-office” functions off your shoulders so you can focus on what you do best – sales and operations. We have full-time support staff in all the major functional areas that can otherwise distract you from your true mission of GROWING YOUR BUSINESS.

Another common problem is the lack of capital to do acquisitions, expand the company’s geographical footprint or expand product and service offerings. Generating capital internally and accessing debt markets are difficult and time-consuming. Growing your business in any of these ways is capital intensive; our ready access to both debt and equity funding may be just the right solution to your needs.

How should you think about valuation? How big do you need to be?

The size of a business is only one factor in valuation since businesses of any size can be attractive to potential acquirers. Besides size, the most important criteria in evaluating a potential acquisition are:

Quality of Management: We look for management that has demonstrated leadership skills and has the potential to grow within our organization.

Quality of Customers: We look for long-term stability in customer relationships.

Quality of Assets: We look for well-maintained facilities and assets in good locations.

How do you get started? What role might a private equity sponsored firm play?

Tech Air is a private equity-sponsored company, which means we’re well-capitalized and can maintain an aggressive acquisition strategy.
In fact, we have a proven track record of purchasing high-quality businesses by offering an attractive alternative to the large consolidators.
We have successfully completed eight add-on acquisitions since 2011 and we are looking to make additional acquisitions in the near future.

We are more flexible in structuring transactions and more entrepreneurial in our management style than large consolidators. We also provide the opportunity for sellers to reinvest a portion of their proceeds into our equity and; as a result, become partners. This is a lot of what we discuss with owners who simply want to inquire about taking the first step.